There is no doubt in my mind that these loss leaders are bringing in foot traffic that otherwise may not be making a trip to that store. But let's face it, anyone out here who has been to a Fry's (assuming they are 50K - 180K square feet), understands the concept because it's like taking Bestbuy, Circuit City, PCclub, and every Mom & Pap computer/electronic store and putting them all under one roof. Our Woodland Hills store was there largest when they opened it about 10 years ago. It is quoted at 115K. I guess the largest is 180K now. By the way someone mentioned Florida. I did now know this, but I saw a list of stores that showed Fry's has two stores in Atlanta, Georgia. I didn't know they went farther east than Texas.
Anyhow, for someone who has never been to one of these stores, the loss leader will suck you in like a shop vac. Every store has it's own theme. Our store is based on Alice and Wonderland where the Burbank store on the other side of the valley is a Retro 50's and space alien theme.
It's safe to assume that a first time visitor is NOT going to walk in and buy the one time in the paper they sought to buy. They will ask every time you buy a combo if you need all the fixings, Ram, Hard Drive, HS/Fan if the CPU is OEM, etc. They don't seem to ever have loss leaders in every category advertised at the same time in each add. So for instance last week they had a new Retail Maxtor 500GB drive for $79 but the Quad was $269 with a board. Now the quad is $189 standalone retail box and no drives are on sale so that same Maxtor is back up to $129. They are 75% MSRP on all items in the store. There are red tag clearance items through out the store at all times. These are discontinued products priced to move or something that they want to clear out a lot of demo and open box items. So that's the fact. They are banking on you needing a MSRP priced part(s) and then of course entice you with electronics, dvdz, cdz, and virtually any product that plugs into the wall again under one roof.
If you are not too technically literate, don't expect Fry's to help you out too much. Most employees there would be the same ones you would find as the store greeters at walmart.
OK, I've said my piece. I don't know how these posts get to me so long, but once I get started, I just keep typing and typing... But I am very opinionated, especially concerning the story that takes more money from me on an annual basis than any other store hands down.
Locations and Weekly Retail Store Ads
Note: not all states and locations have the same pricing as another store may have. These are clearly marked in the ads that are posted here.
Scott
SMZ
Originally posted by: bryanW1995
it's much easier for the b&m to get silly on their prices, b/c MOST people are already there and end up buying other items to get the store out of the hole. On your web site you have to find a way to market other items REALLY well but not so well that you piss off your customers

We have a problem selling cars over the internet at those crazy loser prices for that reason b/c often the customer just buys the loser deal and nothing else.